Dongfeng Motor Invests 50 Billion Yuan to Develop NEV
Recently, at the 2023 Dongfeng Motor brand spring launch event, You Zheng, Vice President of Dongfeng Motor, proposed a three-year action plan for the company’s “transformation and upgrading”.
He also stated that “in the next three years, we will invest ¥ 50 billion RMB (about $ 7.3 billion USD) in developing new energy businesses, accelerating the construction of material technology research institutes and software engineering research institutes, promoting comprehensive industrialization of new energy powertrains and independent controllers as well as auto-grade chips.”
In addition, You Zheng mentioned that in 2024, Dongfeng Motor’s new self-owned passenger car models will achieve 100% electrification. By 2025, the sales ratio of self-owned passenger cars and joint venture brands will reach 1:1 with each selling two million units. Among them, sales of new energy vehicles will account for 50% and 70% of self-owned passenger cars, respectively.
On the track of intelligent electrification, Dongfeng Motor is accelerating its efforts. Correspondingly, Dongfeng Motor will continue to build a brand pattern in the passenger vehicle field including luxury, high-end, mainstream and small new energy brands.
According to the plan, from 2021 to 2025, Dongfeng Motor’s research and development investment will reach hundreds of billions of yuan, with a key core technology control rate of its own brand reaching 95%.
By around 2025, it will independently control more than 2,000 key core technologies and increase the cumulative number of invention patents by five times to over 6,000. At the same time, the proportion of revenue generated by technological and service innovation businesses in independent business income will reach one quarter.
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“At the exhibition of Auto Shanghai, Dongfeng Motor will release a new series of electrified products. In the second half of 2023, a new small electric brand will also be launched,” said You Zheng. In terms of future product planning, Dongfeng Motor will focus on the market demand for new energy vehicles in all scenarios and climates.
In the passenger vehicle sector, Dongfeng Motor will launch 18 new energy products to continuously enrich its product lineup. In the commercial vehicle sector, it will introduce 22 basic models to achieve full coverage of multiple scenarios. The VAN vehicle developed based on the next-generation skateboard platform will be launched in 2025.
